T

he World Bank Group’s International Finance Corporation (IFC) is planning to provide US$500 million in lending facilities to finance the private sector in Indonesia during the 2012 fiscal year, its country manager said in Jakarta on Tuesday.

“We will have provided some $500 million for the private sector in Indonesia from June 2011 to July this year,” IFC country manager Sarvesh Suri said on the sidelines of a signing ceremony with Indonesian shipping company PT Wintermar Offshore Marine Tbk.

He said that IFC had conducted assessments of some companies that were important sources of jobs, investment, government revenue and energy.

“We help developing countries achieve sustainable growth by financing investment, providing advisory services to business and governments and mobilizing capital in the international job markets,” he said.

IFC has provided $45 million in loans, payable over seven years, to Wintermar to help expand infrastructure services in Indonesia’s oil and gas industry, enabling the sector to grow, create jobs and sustain economic activity.

President Director of Wintermar Offshore Marines Sugiman Layanto said that the loan would assist in funding the company’s plan to add 15 supply vessels to its fleet over the next two years.

“The expanded fleet will support the exploration and development of new offshore oil and gas fields, particularly in eastern Indonesia, to help the country meet growing energy needs,” Sugiman told reporters.

He said that the company would buy eight vessels this year and seven more in 2013.

Currently, the company operates a fleet of 65 vessels, transporting crews and equipment and providing “one-stop” services such as anchor handling, towing and mooring for offshore rigs.

He also said that the government’s cabotage system benefited their work. “The level of activity in the Indonesian offshore-energy sector has risen significantly in the past twelve months, leading to higher demand for Indonesian-flagged offshore-support vessels,” he said.

The loan commitment was previously announced in an information disclosure submitted to the Indonesian Stock Exchange on Dec. 28, 2011.

Rachel Robbins, IFC Vice President and General Counsel said that the investment in Wintermar was part of their commitment to accelerate infrastructure development in Indonesia.

“Improving infrastructure is critical in driving Indonesia’s economic growth,” Robbins said.

She also said that IFC’s investment was expected to help the company strengthen its corporate governance and apply the best environmental, health and safety practices. (nfo)